Empty of vessels … the Danube in southern Romania, one of eastern Europe's busiest commercial waterways, is now strewn with stranded barges. Photo: Adam McLean

Falling levels on the Rhine and Danube are pushing up shipping costs for companies including ArcelorMittal, the world's biggest steelmaker, and the chemical company BASF SE as they turn to road transport or make more barge trips with smaller loads.

Germany, home to the Danube River's watershed, had its driest month since recordkeeping began in 1881. The lack of rainfall has pushed the waterway's level to a 42-year low in Serbia. Record temperatures and depleted water tables along the Danube basin also contributed to the low levels, according to the Drought Management Centre for Southeastern Europe.

Low water levels on rivers running between Romania's Black Sea ports and the North Sea of Germany have brought havoc on Europe's freight transport.

Advertisement

The droughts, which the German Ministry of Education and Research says will worsen due to global warming, helped push up costs of refined fuel products and delayed grain shipments.

Ten European countries share the 2872-kilometre Danube waterway. About 220 million people rely on it for drinking water, crop irrigation and hydro power.

The European Union has pledged €100 billion ($130.7 billion) towards improving the Danube's freight infrastructure and helping the region cope with drought. Unlike the Rhine, which plays a central role for German exporters, the Danube ''does not fulfil even a fraction of its potential'', said Edgar Martin of Infospectrum, a London risk adviser. A barge convoy can carry the equivalent of 400 fully loaded trucks, he said. Even before the drought, the Danube, which is connected to Germany's Main and Rhine rivers by canal, was carrying only about 10 per cent of its capacity, according to EU estimates.